Latest news with #ZiadAlMurshed
Arab News
3 days ago
- Business
- Arab News
Saudi Aramco secures $5bn in bond sale to bolster financial flexibility
RIYADH: Saudi Aramco has raised $5 billion through a three-tranche bond issuance under its Global Medium-Term Note Program, the company said. The senior notes, which were priced on May 27 and listed on the London Stock Exchange, include $1.5 billion maturing in 2030 at a 4.75 percent coupon, $1.25 billion maturing in 2035 at 5.375 percent, and $2.25 billion maturing in 2055 with a 6.375 percent coupon. This follows Aramco's $6 billion bond sale in July 2024 and comes amid heightened Gulf debt market activity, including Saudi Arabia's Public Investment Fund, which has raised $5.25 billion so far in 2025 through multiple issuances — including a $4 billion bond in January — and Abu Dhabi's Masdar, which recently issued a $1 billion green bond. Ziad Al-Murshed, executive vice president of finance and chief financial officer at Aramco, said: 'The strong demand for our new bond offering, as reflected in the diversified orderbook, is a testament to global investors' confidence in Aramco's financial resilience and robust balance sheet.' He added: 'Pricing the offering with no new issuance premium across all tranches clearly reflects Aramco's unique long-term credit proposition.' The bond offering saw tightened spreads across all maturities, indicating strong investor interest. The five-year notes were priced at 80 basis points over US Treasuries, while the 10- and 30-year tranches were set at 95 and 155 basis points respectively — each tighter than initial price guidance earlier in the day. Proceeds from the latest issue will be used for general corporate purposes, as the state oil giant continues to support Saudi Arabia's Vision 2030 diversification strategy. The issuance comes as Aramco navigates a more challenging environment marked by declining profits and lower crude prices. The company reported a 4.6 percent drop in first quarter earnings, citing weaker sales and rising operating costs. In March, it announced plans to cut its dividend by nearly a third due to declining free cash flow. Amid these headwinds, Aramco is also exploring asset sales and capital market strategies to maintain liquidity and finance its global expansion ambitions. In May, the company published a new prospectus for a sukuk issuance program, signaling potential future activity in debt markets. The sukuk, also to be listed on the London Stock Exchange, may be issued over the next 12 months. Meanwhile, Masdar — Abu Dhabi's renewable energy company — also returned to the debt market in May with a $1 billion green bond issuance. The deal was split into two equal tranches of $500 million each, with maturities of five and ten years and coupon rates of 4.875 percent and 5.375 percent, respectively. The bond was significantly oversubscribed, receiving $6.6 billion in peak orders, which highlights the growing global appetite for sustainable investment instruments.
Gulf Business
3 days ago
- Business
- Gulf Business
Saudi Arabian Oil Company Aramco completes $5bn bond issuance
Image credit: Saudi Aramco Saudi Arabian Oil Company (Saudi Aramco) has announced the completion of a $5bn issuance of bonds across three tranches under its Global Medium Term Note Program. Read- According to Aramco, the tranches include $1.5bn in senior notes maturing in 2030 with a coupon rate of 4.7 per cent, $1.25bn in senior notes maturing in 2035 with a coupon rate of 5.3 per cent, and $2.25bn in senior notes maturing in 2055 with a coupon rate of 6.3 per cent. The transaction was priced on May 27, 2025, and the notes were listed on the London Stock Exchange, a Saudi Press Agency report said. 'The strong demand for our new bond offering, as reflected in the diversified orderbook, is a testament to global investors' confidence in Aramco's financial resilience and robust balance sheet. Pricing the offering with no new issuance premium across all tranches clearly reflects Aramco's unique long-term credit proposition. We remain committed to our disciplined approach towards capital management as we continue to execute our growth strategy,' Aramco's Executive Vice President of Finance and CFO Ziad Al Murshed stated.
Asharq Al-Awsat
4 days ago
- Business
- Asharq Al-Awsat
Saudi Aramco Completes $5 Billion Bond Issuance
Saudi Aramco announced the completion of a $5 billion issuance of bonds across three tranches under its Global Medium Term Note Program. According to Aramco, the tranches include $1.5 billion in senior notes maturing in 2030 with a coupon rate of 4.750%, $1.25 billion in senior notes maturing in 2035 with a coupon rate of 5.375%, and $2.25 billion in senior notes maturing in 2055 with a coupon rate of 6.375%. The transaction was priced on May 27 and the notes were listed on the London Stock Exchange. Aramco's Executive Vice President of Finance and CFO Ziad Al-Murshed stated: 'The strong demand for our new bond offering, as reflected in the diversified orderbook, is a testament to global investors' confidence in Aramco's financial resilience and robust balance sheet.' 'Pricing the offering with no new issuance premium across all tranches clearly reflects Aramco's unique long-term credit proposition. We remain committed to our disciplined approach towards capital management as we continue to execute our growth strategy,' he added.
Zawya
4 days ago
- Business
- Zawya
Aramco announces completion of $5bln bond issuance
The pricing achieved across all three tranches underscores Aramco's exceptional credit strength DHAHRAN, Saudi Arabia – Aramco, one of the world's leading integrated energy and chemicals companies, announced that it has successfully completed a $5 billion issuance of bonds across three tranches under its Global Medium Term Note Program. The tranches include: $1.5 billion senior notes maturing in 2030 with a coupon rate of 4.750%; $1.25 billion senior notes maturing in 2035 with a coupon rate of 5.375%; and $2.25 billion senior notes maturing in 2055 with a coupon rate of 6.375%. The transaction was priced on May 27, 2025, and the notes were listed on the London Stock Exchange. Ziad T. Al-Murshed, Aramco's Executive Vice President of Finance & CFO, said: 'The strong demand for our new bond offering, as reflected in the diversified orderbook, is a testament to global investors' confidence in Aramco's financial resilience and robust balance sheet. Pricing the offering with no new issuance premium across all tranches clearly reflects Aramco's unique long-term credit proposition. We remain committed to our disciplined approach towards capital management as we continue to execute our growth strategy.' Aramco Contact Information Media Relations: Investor Relations: @aramco About Aramco As one of the world's leading integrated energy and chemicals companies, our global team is dedicated to creating impact in all that we do, from providing crucial oil supplies to developing new energy technologies. We focus on making our resources more dependable, more sustainable and more useful, helping to promote growth and productivity around the world.
Trade Arabia
4 days ago
- Business
- Trade Arabia
Aramco announces completion of $5bn bond issuance
Aramco, one of the world's leading integrated energy and chemicals companies, announced that it has successfully completed a $5 billion issuance of bonds across three tranches under its Global Medium Term Note Program. The bond offering received strong interest from a wide array of high-quality institutional investors, said Aramco in a statement. The tranches include: $1.5 billion senior notes maturing in 2030 with a coupon rate of 4.750%; $1.25 billion senior notes maturing in 2035 with a coupon rate of 5.375%; and $2.25 billion senior notes maturing in 2055 with a coupon rate of 6.375%. The transaction was priced on May 27, 2025, and the notes were listed on the London Stock Exchange. The pricing achieved across all three tranches underscores Aramco's exceptional credit strength. Ziad T. Al-Murshed, Aramco's Executive Vice President of Finance & CFO, said: "The strong demand for our new bond offering, as reflected in the diversified orderbook, is a testament to global investors' confidence in Aramco's financial resilience and robust balance sheet."
